DoD Awards $21.9M C4I Training Contract to Salient Federal-SGIS Inc. for Saudi Arabia

Contract Overview

Contract Amount: $21,897,655 ($21.9M)

Contractor: Salient Federal-Sgis Inc

Awarding Agency: Department of Defense

Start Date: 2015-05-06

End Date: 2020-11-06

Contract Duration: 2,011 days

Daily Burn Rate: $10.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: IGF::OT::IGF THE CONTRACTOR WILL PROVIDE TRAINING SERVICES TO THE KINGDOM OF SAUDIA ARABIA FOR THE COMMAND, CONTROL, COMMUNICATIONS, COMPUTERS, AND INTELLIGENCE (C4I) UPGRADE AND REFURBISHMENT FOR THE C4I INTERNATIONAL INTEGRATION PROGRAM OFFICE (PMW 740).

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92121

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $21.9 million to SALIENT FEDERAL-SGIS INC for work described as: IGF::OT::IGF THE CONTRACTOR WILL PROVIDE TRAINING SERVICES TO THE KINGDOM OF SAUDIA ARABIA FOR THE COMMAND, CONTROL, COMMUNICATIONS, COMPUTERS, AND INTELLIGENCE (C4I) UPGRADE AND REFURBISHMENT FOR THE C4I INTERNATIONAL INTEGRATION PROGRAM OFFICE (PMW 740). Key points: 1. Contract focuses on critical C4I systems upgrade and refurbishment for Saudi Arabia. 2. Salient Federal-SGIS Inc. is the sole awardee for this specific delivery order. 3. The contract involves significant international cooperation and technology transfer. 4. Engineering services are central to the C4I International Integration Program Office's mission.

Value Assessment

Rating: fair

The contract value of $21.9 million for a 5-year period appears reasonable for specialized C4I training services. Benchmarking against similar international defense training contracts would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, this specific delivery order was awarded to a single contractor, indicating potential for limited competition at the order level.

Taxpayer Impact: Taxpayer funds are being used to support international defense modernization efforts, which can have long-term geopolitical and security implications.

Public Impact

Enhances interoperability of critical command and control systems for a key U.S. ally. Supports U.S. foreign policy objectives by strengthening regional security partnerships. Potential for technology transfer and capacity building in Saudi Arabia's defense sector. Ensures effective operation and maintenance of advanced C4I systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in complex international training programs.
Geopolitical risks associated with defense cooperation in the Middle East.
Ensuring effective knowledge transfer and long-term sustainability of training.

Positive Signals

Strengthens a key regional alliance through critical infrastructure support.
Leverages specialized contractor expertise for complex C4I systems.
Supports U.S. defense industry capabilities through international sales.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting defense-related C4I systems. Spending in this area is often driven by national security priorities and international partnerships, with significant investment in advanced technology and specialized training.

Small Business Impact

The contract was awarded to Salient Federal-SGIS Inc., a large business. There is no indication of small business participation in this specific delivery order, which is common for large, complex defense contracts.

Oversight & Accountability

The Department of Defense, through the Defense Contract Management Agency, is responsible for overseeing this contract. Robust oversight is crucial to ensure performance, cost control, and adherence to international agreements.

Related Government Programs

Engineering Services
Department of Defense Contracting
Defense Contract Management Agency Programs

Risk Flags

International partner reliance on U.S. technology.
Potential for technology transfer risks.
Geopolitical instability in the region.
Complexity of managing cross-cultural training programs.
Ensuring long-term sustainment and maintenance capabilities.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.9 million to SALIENT FEDERAL-SGIS INC. IGF::OT::IGF THE CONTRACTOR WILL PROVIDE TRAINING SERVICES TO THE KINGDOM OF SAUDIA ARABIA FOR THE COMMAND, CONTROL, COMMUNICATIONS, COMPUTERS, AND INTELLIGENCE (C4I) UPGRADE AND REFURBISHMENT FOR THE C4I INTERNATIONAL INTEGRATION PROGRAM OFFICE (PMW 740).

Who is the contractor on this award?

The obligated recipient is SALIENT FEDERAL-SGIS INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $21.9 million.

What is the period of performance?

Start: 2015-05-06. End: 2020-11-06.

What is the long-term strategic value of this training investment for U.S. national security interests?

The long-term strategic value lies in strengthening a key regional ally's defense capabilities, enhancing interoperability, and fostering stability in a critical geopolitical area. By ensuring the effective operation of C4I systems, the U.S. promotes shared security objectives and maintains influence, potentially reducing the need for direct U.S. military intervention in future crises.

What are the primary risks associated with providing advanced C4I training to a foreign partner, and how are they mitigated?

Primary risks include technology proliferation, potential misuse of sensitive information, and geopolitical shifts impacting the partnership. Mitigation strategies involve strict adherence to export control regulations, robust cybersecurity measures, clear contractual limitations on technology transfer, and continuous diplomatic engagement to ensure alignment of strategic interests.

How effectively does this contract contribute to the overall goals of the C4I International Integration Program Office?

This contract directly contributes by ensuring that the Kingdom of Saudi Arabia possesses the necessary expertise to operate and maintain the upgraded C4I systems. Effective training is fundamental to the success of any C4I integration program, guaranteeing that the technological investments translate into enhanced operational capabilities and improved command and control functions for the partner nation.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0002414R3568

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Skillstorm Commercial Services LLC

Address: 8255 GREENSBORO DR STE 400, MCLEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $44,758,384

Exercised Options: $42,865,576

Current Obligation: $21,897,655

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017814D8041

IDV Type: IDC

Timeline